A Gold Exploration and Development Company
Boasting a renowned track record of advancing gold exploration
Investing in Gold Equities
U.S. Gold Corp. is a U.S.-focused gold exploration and development company advancing high potential projects in Nevada and Wyoming.
“Gold equities have risen sharply since January. “
Gold companies have massively underperformed gold prices in this downturn, as poor management and high debt levels have caused investors to lose faith. The sharp fall in gold prices in 2013 was a massive shock for an industry that had become complacent. Since then, companies have been trying to restructure and cut costs, with mixed results, and investors have been put off as companies have had to revise mine plans and reserve/resource statements to reflect US$1100/oz gold prices instead of US$1500/oz, to which they had become accustomed.
However, management changes and lower costs, helped by falling oil prices and weaker currencies, have recently led to increased margins and a return to strong free cashflow generation. With the latest modest rise in the gold price, gold equities have responded strongly, as margins increased dramatically, leading to a strong outperformance of gold equities against the gold price as well as major equity indices, such as the S&P, FTSE and DAX.”